With emerging trends in investments, investors (both seasoned and rookies) are moving towards cryptocurrencies. If you want to invest in something for the future that is not affected by inflation levels, crypto is one of the best investments to consider. But where do you buy cryptocurrency?
The best answer to this question is cryptocurrency exchanges. However, there are two types of exchanges: decentralized and centralized. Here, you will learn which one to consider. Finally, this article will also consist of top cryptocurrency exchange recommendations.
Therefore, to learn about the best cryptocurrency exchanges, read on to the end of the article.
Where Do You Buy Cryptocurrency? – Crypto Exchanges
An exchange makes the cryptocurrency purchase process easier and investor friendly. To start buying and selling cryptocurrencies and digital assets, you need to visit a crypto exchange. A crypto exchange is to a crypto investor what a broker platform is to a share-market investor.
Generally, cryptocurrency exchanges are privately owned. Its sole purpose is to facilitate cryptocurrency trading. Also, you can trade digital currencies, NFTs, and fiat currencies in those exchanges.
Check out the blogs in Coinfomania to learn more about cryptocurrencies and other digital assets that you can invest in.
Centralized vs. Decentralized Exchanges
Now you know the answer to “where do you buy cryptocurrency?” – which is cryptocurrency exchanges. It is time to know the types of exchanges.
A cryptocurrency exchange can be of two types – centralized and decentralized. Both have their own advantages and disadvantages.
For instance, a centralized cryptocurrency exchange acts as an intermediary between a crypto buyer and a seller. Here, they make money in the form of transaction fees and commissions. In fact, it works similarly to a stock exchange
Some popular centralized cryptocurrency exchanges are Kraken, Binance, Coinbase, etc.
On the other hand, a decentralized exchange is the one which allows peer-to-peer transactions. Basically, you can buy/sell cryptocurrencies directly from your digital wallet. Also, you do not need an intermediary in the process.
Some examples of decentralized cryptocurrency exchanges are Uniswap, dYdX, PancakeSwap, Kyber, etc.
Top 5 Cryptocurrency Exchanges
So, where do you buy cryptocurrency? In this section, we will talk about only centralized exchanges. This is because they are easy to use and reliable. Also, it enables you to leverage your investments in a better way.
Here are the top five cryptocurrency exchanges that you need to know about:
- Binance
Binance is the largest crypto exchange when it comes to trading volume. Currently, it has a trading volume of $19 billion in twenty-four hours. In the last few years, Binance has become a trusted name in the crypto market.
For instance, you can buy/sell and store your digital assets on this platform. Also, there are more than 350 cryptocurrencies you can have access to. Moreover, there are many transaction options on the platform. Equally important, you will also have access to advanced trading tools.
In addition to that, the platform allows traders to borrow funds and perform margin trading. This way, a trader can trade with 10X leverage. Also, it allows users to use their derivative products for more leverage.
- Bybit
This cryptocurrency exchange has a global community of 60 million users. Its focus is to create a simple, open, and equal ecosystem so that more people can have access to the world of decentralization.
Basically, it focuses on Web3 and has strategic partnerships with some of the best blockchain protocols. This helps it to focus on innovation and better crypto infrastructure. In addition to that, it also offers secure custody, a simple user interface, access to a diverse marketplace, and advanced tools.
Overall, it wants to bridge the gap between trading and decentralized finance. Thereby, it wants to empower builders, creators, and crypto enthusiasts to make the most of the Web3 technology.
- Coinbase
This is the best crypto-trading platform in the United States and is also an investment platform. Basically, it allows you to buy/sell, exchange, and store cryptocurrencies easily. Also, it offers support for basic transactions, PayPal withdrawals, and digital wallets. In addition to that, the platform is beginner-friendly and intuitive.
However, to serve advanced traders, Coinbase had a Pro version. It came with a professional trade execution option and lower fees. Since 2022, Coinbase announced that all users will have access to the advanced features.
Currently, it has a spot trading volume of over $3.5 billion in 24 hours.
- Bitget
It has 20 million users across 100 countries and focuses mostly on copy trading and other smart tools that are necessary for trading. Apart from that, you will get a wide range of crypto services on this platform. Some of them include:
crypto-to-crypto trading
futures trading
spot trading
copy trading
margin trading
earning services like crypto loans, savings, and staking
AI-powered trading bot, and more.
It also comes with wallet options- the Bitget Wallet. Basically, it is a decentralized multi-chain wallet. Also, it supports more than 90 main chains.
- Kraken
Kraken is also based in the United States. Here, you can buy/sell and trade in a variety of cryptocurrencies and other assets with low commissions. Apart from that, the platform also allows you to earn rewards by staking your coins.
In addition to that, this cryptocurrency exchange has a high euro volume and high liquidity. Also, here, you can trade over 100 crypto assets and seven types of fiat currencies.
On this platform, you will get a variety of products and services, including:
spot trading
futures (not available in the US)
indices
stakings
margin trading
OTC
NFTs, and more.
Buy Crypto Now
Where do you buy cryptocurrency? – Now, you know the answer to this question, as you have five different cryptocurrency exchanges to choose from. However, before you choose an exchange, check the features and reviews of it.
Apart from that, make sure the exchange you are choosing to invest in comes with wallet and insurance options. This will ensure a higher level of security in crypto investments.
Do you want to suggest a few more cryptocurrency exchanges to buy cryptos from? Consider sharing the in the comments section below.